Question

For the following consider whether it is a Taxable Supply, Input Taxed or GST Free. Calculate net GST payable position.

Receipts

$

660,000 Sales of Motor Vehicles

35,000 Rent received on residential property 5,000 Interest on Deposits

1,100,000 Sale of commercial building

6,600 Employee contribution for provision of car

Payments

$

330,000 Motor Vehicles purchased

10,500 Maintenance cost on the residential apartments 150,000 Salary paid to employees

1,500 Rates

400 Water bill

55,000 Repairs to motor vehicles

Answer 1

THERE IS NO PRESCRIBED RATE GIVEN IN THE QUESTION FOR THE PURPOSE OF CALCULATION GST

660,000 Sales of Motor Vehicles	Taxable Supply
35,000 Rent received on residential property	GST FREE
5,000 Interest on Deposits	GST FREE
1,100,000 Sale of commercial build	Taxable Supply
6,600 Employee contribution for provision of car	Taxable Spply
330,000 Motor Vehicles purchased	Input GST
10,500 Maintenance cost on the residential apartments	Input GST
150,000 Salary paid to employees	GST Free

1,500 Rates	GST Free
400 Water bill	GST Free
55,000 Repairs to motor vehicles	INPUT GST